Nintendo Boss Upset About Low iOS Game Prices
February 9, 2011
The American boss at Nintendo is frustrated at Apple, but not for the reason one might expect. Reggie Fils-Aime, the President and Chief Operating Officer for Nintendo America is upset about the App Store’s low game prices.
According to The Escapist, Fils-Aime thinks Apple has created a “mentality” for consumers that games should never cost more than a few dollars. In other words, consumers will see games as disposable. But aren't they? All of them?
While it’s hard to argue with his point, Fils-Aime’s comments clearly say more about his company, not Apple.
Nintendo’s model has always worked like this: new game titles are released to retailers, typically with prices anywhere from $39.99 to $69.99. In time, the price is discounted. If the game is popular, a new version is released with the same inflated prices. Nintendo's hope is that once a new game version is released, you will buy the new one, leaving the old one collecting dust.
Nintendo had be successful in doing this for a long time. However, the arrival of iOS games has changed everything. Now, consumers can download games instantly, at lower prices, and receive free updates when they become available.
Many will argue iOS games aren’t as “good” as those for Nintendo, and hence the reason for the price disparities. But that misses the point. Unless you are a major game player (which most people are not), you are more likely to buy multiple games in the App Store, for the same price one game would cost for your Nintendo device.
And that is what Nintendo’s boss is really angry about.
What do you think? Leave your comments below.
